Operating margin is defined as Operating Profit divided by Revenue (or Sales).
<math>Operating\ Margin=Operating\ Profit / Revenue</math>
Operating margin is expressed as a percent of revenue and is the amount of profit you have for each $1 in sales after deducting all expenses other than interest and taxes.
Related Fool Articles
Related Community Blogs
Recent Mentions on Fool.com
- Chuy's Gets a Bit Spicier, But Will It Deliver in 2015?
- 5 Things Target Corporation Management Wants You to Know
- This Retail Giant Will Keep Steamrolling Department Stores
- Why Apple Inc. Stock Could Return 25% This Year
- Stratasys, Ltd. Q4 and 2014 Earnings: Market Relieved, No Major Surprises
- J.C. Penney Company: 5 Things Management Wants You to Know